Metallurgists conducted another drop in scrap quotations against the background of falling demand for rolled steel and the stagnation of foreign markets for steel raw materials. At the moment, the average market purchase price of plants is 5900 UAH / ton.
Supplies to the metal plants.
Traders and procurers continue to actively unload the accumulated raw materials in anticipation of the next decrease in purchase prices. Over the last week, total shipments amounted to 91 thousand tons, which is the maximum value in the last four years.
Remains in the ports of Ukraine.
Scrap stocks in the ports of Ukraine have slightly decreased and currently amount to 4.3 thousand tons.
Dynamics of steel production.
Steel production decreased to 369 thousand tons, which is 6 thousand tons or 2% less than a week earlier. Energomashspetsstal has resumed production after a short downtime.
Stocks of scrap at iron and steel works.
Remains of scrap in the warehouses of factories increased to 206 thousand tons, which is the maximum value over the past five years. The indicator of stocks in the days of work was 24 days, which is two times higher than the standard value. In such conditions, steel mills will continue to lower purchase prices in the domestic market.
Forecast domestic prices for scrap.
In the coming weeks, the procurement prices in the domestic market will continue to decline due to weaker demand for rolled steel and a drop in export quotations. The forecast average price next week is 5700 UAH / ton.
Information according to the state enterprise "Ukrpromvneshnekspertiza".
